Qué son los incoterms

Understanding Incoterms in International Trade

The Importance of Incoterms

• Incoterms clarify who bears the risks and costs of transportation in international trade, determining whether the exporter or importer is responsible.

• These terms simplify obligations for buyers and sellers in both international and national transactions, although this video focuses on international commerce.

• A common issue arises when contracts are not formalized due to disagreements over price, delivery times, or payment conditions.

Role of Logistics Companies

• Marisa Moreno introduces herself as the founder of Universal Logistics, emphasizing their expertise in logistics and international trade.

• The company has assisted numerous businesses in managing imports and exports effectively with tailored solutions to minimize risks.

Understanding Incoterms

• Incoterms are essential tools that define costs, risks, and obligations between parties involved in international sales.

• They help increase competitiveness by facilitating exports while allowing access to cheaper raw materials through imports.

Reducing Disputes with Clear Contracts

• Properly drafted contracts referencing specific Incoterms can reduce uncertainties inherent in international transactions.

• These terms specify delivery points, risk responsibilities during transport, cost distribution, and customs duties management.

Legal Implications of Using Incoterms

• Although optional, Incoterms significantly enhance contract solidity by connecting various auxiliary agreements within a sale.

• They clarify critical aspects such as delivery timing and location, responsibility for transport arrangements, packaging duties, inspection operations if necessary.

Evolution of Incoterms

Historical Context

• Established by the International Chamber of Commerce (ICC) in 1936, these terms have been updated approximately every ten years to reflect changes in global trade practices.

Recent Updates

• The latest version from 2020 aimed for practicality rather than disruption compared to the previous edition from 2010.

Understanding Incoterms and Their Importance in International Trade

The Role of Incoterms in Contracts

• The absence of rules in international trade would complicate contracts, requiring additional pages to clarify responsibilities such as transportation, customs clearance, and insurance.

• Incoterms, defined by three letters, clearly delineate the obligations of each party involved in a transaction. Choosing the right Incoterm is crucial based on factors like the country of import/export.

• While not mandatory, using Incoterms is highly recommended as they help define responsibilities and reduce conflicts between parties.

Analyzing Suitable Incoterms

• Companies must carefully analyze which Incoterm best suits their needs; often only two or three will be appropriate after thorough evaluation.

• There are two main groups of Incoterms: those for maritime transport (not containerized cargo) and those applicable to multimodal transport.

Key Types of Incoterms

• For any type of transport, key terms include:

• EXW (Ex Works)

• FCA (Free Carrier)

• CPT (Carriage Paid To)

• CIP (Carriage and Insurance Paid To)

• DAP (Delivered at Place)

• DDP (Delivered Duty Paid)

• Specific to maritime transport are terms like:

• FOB (Free On Board)

• CFR (Cost and Freight)

• CIF (Cost, Insurance & Freight)

Updates from Incoterms 2020

• Significant changes from the previous version include:

• Buyers can request a bill of lading with "on board" notation for sellers.

• Introduction of a new term: DPU (Delivered at Place Unloaded), replacing DAT.

• Modifications also affect insurance coverage levels under certain terms like CIP and CIF.

Contractual Obligations Regarding Insurance

• It's essential that the chosen Incoterm is explicitly stated in contracts along with designated locations to avoid costly misunderstandings.

• Notably, under certain terms like CIP and CIF, sellers must insure goods for at least 110% of their value for buyer claims.

Recommendations on Using Extreme Terms

• Avoid using extreme terms such as EXW or DDP due to potential risks associated with responsibility transfer during export processes.

• It’s critical that all parties understand who bears the risk if insurance is not contracted properly.

Importation and Customs Regulations

Key Considerations for Importing Goods

• When dealing with customs in a foreign country, it is crucial for sellers to understand the rules of customs procedures (CPU). It is recommended that the seller manages customs clearance during export, while the buyer should handle it during import.

• Many companies misuse Incoterms related to maritime transport. Specifically, the term "FOP" (Free on Board) should only apply to non-containerized cargo, such as bulk goods or machinery, rather than container shipments.

• The risk associated with FOP transfers when cargo is loaded onto a vessel. For containerized goods, responsibility typically lies with the exporter until loading occurs at the shipping terminal.

Appropriate Use of Incoterms

• The 2020 revision of Incoterms clarifies appropriate terms for containerized cargo. Terms like FCC (Free Carrier), PPT (Prepaid), and ZIP are specifically designed for this type of shipment.

• In documentary credit situations, selling under certain conditions can be risky. It's advised not to request documents under a letter of credit if they involve transferring responsibility back to the seller after delivery.

Recommendations for Documentary Credits

• A common timeframe in documentary credits allows 21 days to submit documentation to banks; delays in merchandise arrival can hinder timely document submission.

• It’s advisable to sell using EFE (Ex Works Free on Board), especially when working with letters of credit. Utilizing specialized freight forwarding services can help mitigate risks associated with improper use of these terms.

Conclusion and Further Resources